Eurozone News
LAST UPDATE: August 28, 2025
Trump’s pressure on Fed independence holds global risk, ECB’s Rehn says
ECB’s Olli Rehn warned that Trump’s challenges to Fed independence threaten global financial stability.
Insight
Weakening central bank independence risks undermining confidence in monetary policy worldwide.
Eurozone’s economic outlook worsens amid U.S. tariffs, domestic pressures
The eurozone growth forecast has been downgraded due to lingering U.S. tariffs and domestic structural weaknesses.
Insight
The dual challenges highlight the region’s continued vulnerability to external shocks and slowing internal momentum.
Euro zone lending growth edges up to new 2-year high
Lending to households and companies rose to a two-year peak in July, signaling robust credit activity.
Insight
Strong credit uptake suggests resilience in borrowing demand amid monetary policy shifts.
France will meet 2025 deficit target of 5.4% GDP, Lombard says
Minister Lombard confirmed that France remains on track to meet its fiscal deficit target for 2025 of around 5.4% of GDP.
Insight
Hitting the target may assuage financial markets and reduce EU scrutiny despite political instability.
French PM warns against snap polls to end political crisis
Prime Minister Bayrou cautioned that snap elections would aggravate, not resolve, France’s political crisis.
Insight
The warning reflects efforts to preserve continuity amid heated parliamentary gridlock and retreat from instability.
